The 27-year-old striker has been included on the 23-man list as recognition for his performances with Atletico Madrid, Monaco and the Colombia national team in 2013
The Colombia international was among the 23 players nominated for the prestigious honour, joining the likes of Cristiano Ronaldo, Lionel Messi and Gareth Bale in being recognised.
Falcao scored 12 goals in 20 games after the turn of the year for Atletico Madrid, earning a £52 million summer move to free-spending Ligue 1 newcomers Monaco, where he has struck eight goals in 11 top-flight appearances.
The forward, who finished fifth in last season's award, told Monaco's website: "I am very happy to be here for the second time consecutively on the list of 23 finalists for the Ballon d'Or.
"I thank God to be present on this list along with 23 excellent footballers. It brings great pride for me individually as well as for Monaco and my country."
The Ballon d'Or winner will be announced on January 13, with Ligue 1 also represented on the shortlist by Paris Saint-Germain trio Edinson Cavani, Zlatan Ibrahimovic and Thiago Silva.